Discord is exploring its options for a sale that could be worth more than $10 billion, as VentureBeat has reported. Bloomberg has additionally stated that Microsoft is one of the companies involved in talks to acquire Discord. It is possible that Discord will go public rather than sell to a larger company.
Sources quoted by VentureBeat claim the potential sale comes due to interest expressed by several parties. One person has claimed that Discords is in final negotiations with one party, and has signed an exclusive acquisition discussion. A Bloomberg source said Discord reached out to Microsoft to gauge interest, with Phil Spencer supposedly in talks with the gaming chat company.
Those familiar with the matter said Epic Games and Amazon have also been involved in discussions to buy Discord in the past, although it’s unclear if negotiations with them are still going.
Discord has had a big year, after it rebranded from a game-focused app to one that welcomed all communities that needed an online space to chat. By the end of 2020, Discord raised $140 million from investors, after getting a valuation of $7 billion.
The company has acknowledged that as of 2020 that are still not profitable, meaning an IPO (initial public offering) is under developed at this point.
Discord has previously been through acquisition talks in 2018, with potential sales being rescinded due to Discord wanting to protect internal values. Many buyers wanted to change the platform in big ways, like adding advertising–something the company has been avoiding.